ACADEMIA DE STUDII ECONOMICE BUCURESTI

Leadership is the art of getting someone else to do

something you want done because he wants to do it.
Dwight Eisenhower

Leadership definition
There are many diverse definitions of leadership. Some of the ommon ideas
that others inl!de in leadership definitions inl!de exerting influence"
motivating and inspiring" helping others realize their potential" leading by
example" selflessness and making a difference. #or perspetive" $e inl!de
several other ommon definitions %
&Leadership is a function of knowing yourself, having a vision that is well
communicated, building trust among colleagues, and taking effective action to
realize your own leadership potential.& 'arren Bennis
" leader is a dealer in hope." Napoleon Bonaparte" #renh soldier"
statesman" revol!tionary ()*+,-)./)0
"s we look ahead into the ne!t century, leaders will be those who empower
others." Bill 1ates
"Leadership is a combination of strategy and character. "f you must be
without one, be without the strategy." 1en. 2. Norman Sh$ar34opf
"Leadership is influence # nothing more, nothing less." 5ohn Ma6$ell" ),,.
"$eople ask the difference between a leader and a boss. . . . %he leader
works in the open, and the boss in covert. %he leader leads, and the boss
drives." Theodore Roosevelt
Leadership is all hype. &e've had three great leaders in this century #
(itler, )talin and *ao.+ 7eter Dr!4er" 8!oted in #ort!ne" /)/02/94

Theories of leadership
9eadership has :een desri:ed as the ;proess of soial infl!ene in $hih
one person is a:le to enlist the aid and s!pport of others in the aomplishment
of a ommon tas4< .
Trait theory
Trait theory tries to desri:e the types of :ehavior and personality
tendenies assoiated $ith effetive leadership. This is pro:a:ly the first
aademi theory of leadership.
7roponents of the trait approah !s!ally list leadership 8!alities" ass!min=
ertain traits or harateristis $ill tend to lead to effetive leadership. Shelley
>ir4patri4 and Ed$in A. 9o4e (),,)0 e6emplify the trait theory. They ar=!e
that &4ey leader traits inl!de% drive ( inl!des ahievement" motivation"
am:ition" ener=y" tenaity" and initiative0" leadership motivation" honesty"
inte=rity" self-onfidene " o=nitive a:ility" and 4no$led=e of the :!siness.
Behavior and style theories
In response to the ritiism of the trait approah" theorists :e=an to
researh leadership as a set of :ehaviors" eval!atin= the :ehavior of ?s!essf!ll?
leaders" determinin= a :ehavior ta6onomy and identifyin= :road leadership
styles.David MClelland sa$ leadership s4ills" not so m!h as a set of traits" :!t
as a pattern of motives. 2e laimed that s!essf!l leaders $ill tend to have a
hi=h need for po$er" a lo$ need for affiliation" and a hi=h level of $hat he
alled ativity inhi:ition (one mi=ht all it self-ontrol0.
>!rt 9e$in" Ronald 9ipitt" and Ralph 'hite developed in ),@, the
seminal $or4 on the infl!ene of leadership styles and performane. The
researhers eval!ated the performane of =ro!ps of eleven-year-old :oys !nder
different types of $or4 limate" defined :y the type of leadership they $ere
s!:Aet to. In eah limate" the leader e6erised his infl!ene in the =ro!p
aordin= to three styles% ()0 a!thoritarian" (/0 demorati and (@0 laisse3-faire.
A!thoritarian limates $ere harateri3ed :y leaders $ho ma4e deisions
alone" havin= f!ll a!thority to ditate eah step ta4enB. The leader is not
neessarily hostile :!t is aloof from partiipation in $or4 and ommonly offers
personal praise and ritiism for the $or4 done. Demorati limates $ere
harateri3ed :y olletive deision proesses" assisted :y the leader. Before
aomplishin= tas4s" perspetives are =ained from =ro!p dis!ssion and
tehnial advie from a leader. Mem:ers are =iven hoies and olletively
deide the division of la:or. 9aisse3 faire environments =ave freedom to the
=ro!p for poliy determination $itho!t any partiipation from the leader. The
leader remains !ninvolved in $or4 deisions !nless as4ed" does not partiipate
in the division of la:or" and very infre8!ently =ives praise.
Situational and contingency theories
Functional theory
This theory ar=!es that the leaderCs main Ao: is to see that $hatever is
neessary to =ro!p needs is ta4en are ofB th!s" a leader an :e said to have done
their Ao: $ell $hen they have ontri:!ted to =ro!p effetiveness and ohesion.
In s!mmari3in= literat!re on f!ntional leadership" >lein" Dei=ert" >ni=ht" and
Eiao o:served five :road f!ntions a leader provides $hen promotin= !nit
effetiveness. These f!ntions inl!de% ()0 environmental monitorin=" (/0
or=ani3in= s!:ordinate ativities" (@0 teahin= and oahin= s!:ordinates" (F0
motivatin= others" and (G0 intervenin= atively in the =ro!pCs $or4.
Transactional and transformational theories
The transational leader is =iven po$er to perform ertain tas4s and
re$ard or p!nish for the teamCs performane. It =ives the opport!nity to the
mana=er to lead the =ro!p and the =ro!p a=rees to follo$ his lead to aomplish
a predetermined =oal in e6han=e for somethin= else. 7o$er is =iven to the
leader to eval!ate" orret and train s!:ordinates $hen prod!tivity is not !p to
the desired level and re$ard effetiveness $hen e6peted o!tome is reahed.
The transformational leader motivates its team to :e effetive and effiient.
Comm!niation is the :ase for =oal ahievement fo!sin= the =ro!p on the final
desired o!tome or =oal attainment. This leader is hi=hly visi:le and !ses hain
of ommand to =et the Ao: done. Transformational leaders fo!s on the :i=
pit!re" needin= to :e s!rro!nded :y people $ho ta4e are of the details. The
leader is al$ays loo4in= for ideas that move the or=ani3ation to reah the
ompanyCs vision.
Leadership styles of "outstanding leaders"
In ),,F 2o!se and 7odsa4off attempted to s!mmari3e the :ehaviors and
approahes of &o!tstandin= leaders& that they o:tained from some more modern
theories and researh findin=s. These leadership :ehaviors and approahes do
not onstit!te speifi styles" :!t !m!latively they pro:a:ly harateri3e the
most effetive style of leadersHmana=ers of the time. The listed leadership
&styles& over%
-Iision. O!tstandin= leaders arti!late an ideolo=ial vision on=r!ent $ith the
deeply-held val!es of follo$ers" a vision that desri:es a :etter f!t!re to $hih
the follo$ers have an alle=ed moral ri=ht.
-7assion and self-sarifie. 9eaders display a passion for" and have a stron=
onvition of" $hat they re=ard as the moral orretness of their vision. They
en=a=e in o!tstandin= or e6traordinary :ehavior and ma4e e6traordinary self-
sarifies in the interest of their vision and mission.
-Confidene" determination" and persistene. O!tstandin= leaders display a hi=h
de=ree of faith in themselves and in the attainment of the vision they arti!late.
Theoretially" s!h leaders need to have a very hi=h de=ree of self-onfidene
and moral onvition :ea!se their mission !s!ally hallen=es the stat!s 8!o
and" therefore" may offend those $ho have a sta4e in preservin= the esta:lished
order.
-Ima=e-:!ildin=. 2o!se and 7odsa4off re=ard o!tstandin= leaders as self-
onsio!s a:o!t their o$n ima=e. They reo=ni3e the desira:ility of follo$ers
pereivin= them as ompetent" redi:le" and tr!st$orthy.
-Role-modelin=. 9eader-ima=e-:!ildin= sets the sta=e for effetive role-
modelin= :ea!se follo$ers identify $ith the val!es of role models $hom they
pereived in positive terms.
-E6ternal representation. O!tstandin= leaders at as spo4espersons for their
respetive or=ani3ations and sym:olially represent those or=ani3ations to
e6ternal onstit!enies.
-E6petations of and onfidene in follo$ers. O!tstandin= leaders omm!niate
e6petations of hi=h performane from their follo$ers and stron= onfidene in
their follo$ersC a:ility to meet s!h e6petations.
-Seletive motive-aro!sal. O!tstandin= leaders seletively aro!se those motives
of follo$ers that the o!tstandin= leaders see as of speial relevane to the
s!essf!l aomplishment of the vision and mission.
-#rame ali=nment. To pers!ade follo$ers to aept and implement han=e"
o!tstandin= leaders en=a=e in &frame ali=nment&. This refers to the lin4a=e of
individ!al and leader interpretive orientations s!h that some set of follo$ersC
interests" val!es" and :eliefs" as $ell as the leaderCs ativities" =oals" and
ideolo=y" :eomes on=r!ent and omplementary.
-Inspirational omm!niation. O!tstandin= leaders often" :!t not al$ays"
omm!niate their messa=e in an inspirational manner !sin= vivid stories"
slo=ans" sym:ols" and eremonies.
Leadership and emotions
9eadership an :e pereived as a parti!larly emotion-laden proess" $ith
emotions ent$ined $ith the soial infl!ene proess. In an or=ani3ation" the
leadersC mood has some effets on his =ro!p. These effets an :e desri:ed in @
levels%
).The mood of individ!al =ro!p mem:ers. 1ro!p mem:ers $ith leaders in
a positive mood e6periene more positive mood than do =ro!p mem:ers $ith
leaders in a ne=ative mood.The leaders transmit their moods to other =ro!p
mem:ers thro!=h the mehanism of mood onta=ion. .
/.The affetive tone of the =ro!p. 1ro!p affetive tone represents the
onsistent or homo=eneo!s affetive reations $ithin a =ro!p. 1ro!p affetive
tone is an a==re=ate of the moods of the individ!al mem:ers of the =ro!p and
refers to mood at the =ro!p level of analysis.
@.1ro!p proesses li4e oordination" effort e6pendit!re" and tas4
strate=y.7!:li e6pressions of mood impat ho$ =ro!p mem:ers thin4 and at.
'hen people e6periene and e6press mood" they send si=nals to others. 9eaders
si=nal their =oals" intentions" and attit!des thro!=h their e6pressions of moods.
In researh a:o!t lient servie it $as fo!nd that e6pressions of positive mood
:y the leader improve the performane of the =ro!p" altho!=h in other setors
there $ere another findin=s.
Beyond the leaderCs mood" his :ehavior is a so!re for employee positive
and ne=ative emotions at $or4. The leader reates sit!ations and events that lead
to emotional response. Certain leader :ehaviors displayed d!rin= interations
$ith their employees are the so!res of these affetive events. 9eaders shape
$or4plae affetive. Emotional intelli=ene" the a:ility to !nderstand and
mana=e moods and emotions in the self and others" ontri:!tes to effetive
leadership in or=ani3ations.
Leadership and vision
Many definitions of leadership involve an element of 1oal mana=ementJ
vision K e6ept in ases of invol!ntary leadership and often in ases of
traditional leadership. A vision provides diretion to the infl!ene proess. A
leader or =ro!p of leaders an have one or more visions of the f!t!re to aid them
to move a =ro!p s!essf!lly to$ards this =oal.
#or leadership to o!r some people &leaders& m!st omm!niate the
vision to others &follo$ers& in s!h a $ay that the follo$ers adopt the vision as
their o$n. 9eaders m!st not A!st see the vision themselves" they m!st have the
a:ility to =et others to see it also.
Levels of leadership
). 7eople #ollo$ yo! :ea!se of $ho yo! are and $hat yo! represent.
/. 7eople follo$ yo! :ea!se of $hat yo! have done for them personally.
@. 7eople follo$ yo! :ea!se of $hat yo! have done for the or=anisation.
F. 7eople follo$ :ea!se they $ant to follo$ yo! (they follo$ yo! :eyond
stated a!thority0.
G. 7eople follo$ yo! :ea!se they have to follo$ yo! .Lo!r infl!ene $ill
not e6tend :eyond lines of yo!r Ao: desription.The lon=er yo! stay
here "the hi=her t!rnover and the lo$er the morale.7eople :e=in to limit
yo! to p!t fenes aro!nd yo! .Lo! anCt stay here more than 2 years.
Attributes of leaders
If yo! are a leader $ho an :e tr!sted" then those aro!nd yo! $ill =ro$ to
respet yo!. To :e s!h a leader" there is a 9eadership #rame$or4 to =!ide yo!%
,E -./& D/
BE a professional. E6amples% Be loyal to the or=ani3ation" perform selfless
servie" ta4e personal responsi:ility.
BE a professional $ho possess =ood harater traits. E6amples% 2onesty"
ompetene" andor" ommitment" inte=rity" o!ra=e" strai=htfor$ardness"
ima=ination.
!"# the fo!r fators of leadership - follo$er" leader" omm!niation"
sit!ation.
!"# yo!rself. E6amples% stren=ths and $ea4ness of yo!r harater"
4no$led=e" and s4ills.
!"# h!man nat!re. E6amples% 2!man needs" emotions" and ho$ people
respond to stress.
!"# yo!r Ao:. E6amples% :e profiient and :e a:le to train others in their
tas4s.
!"# yo!r or=ani3ation. E6amples% $here to =o for help" its limate and
!lt!re" $ho the !noffiial leaders are.
$" provide diretion. E6amples% =oal settin=" pro:lem solvin=" deision
ma4in=" plannin=.
$" implement. E6amples% omm!niatin=" oordinatin=" s!pervisin="
eval!atin=.
$" motivate. E6amples% develop morale and esprit de corps in the or=ani3ation"
train" oah" o!nsel.
Leadership in organi%ations
An or=ani3ation that is esta:lished and has means for ahievin= defined
o:Aetives has :een referred to as a formal or=ani3ation. Its desi=n speifies ho$
=oals are s!:divided and refleted in s!:divisions of the or=ani3ation. Divisions"
departments" setions" positions" Ao:s" and tas4s ma4e !p this $or4 str!t!re.
Th!s" the formal or=ani3ation is e6peted to :ehave impersonally in re=ard to
relationships $ith lients or $ith its mem:ers. Eah employee reeives a salary
and enAoys a de=ree of ten!re that safe=!ards him from the ar:itrary infl!ene of
s!periors or of po$erf!l lients. The hi=her his position in the hierarhy" the
=reater his pres!med e6pertise in adA!diatin= pro:lems that may arise in the
o!rse of the $or4 arried o!t at lo$er levels of the or=ani3ation. It is this
:!rea!rati str!t!re that forms the :asis for the appointment of heads or hiefs
of administrative s!:divisions in the or=ani3ation and endo$s them $ith the
a!thority attahed to their position.
In ontrast to the appointed head or hief of an administrative !nit" a leader
emer=es $ithin the onte6t of the informal or=ani3ation that !nderlies the formal
str!t!re. The informal or=ani3ation e6presses the personal o:Aetives and =oals
of the individ!al mem:ership. Their o:Aetives and =oals may or may not
oinide $ith those of the formal or=ani3ation. The informal or=ani3ation
represents an e6tension of the soial str!t!res that =enerally harateri3e h!man
life K the spontaneo!s emer=ene of =ro!ps and or=ani3ations as ends in
themselves.
In prehistori times" man $as preo!pied $ith his personal se!rity"
maintenane" protetion" and s!rvival. No$ man spends a maAor portion of his
$a4in= ho!rs $or4in= for or=ani3ations. 2is need to identify $ith a omm!nity
that provides se!rity" protetion" maintenane" and a feelin= of :elon=in=
ontin!es !nhan=ed from prehistori times. This need is met :y the informal
or=ani3ation and its emer=ent" or !noffiial" leaders.
9eaders emer=e from $ithin the str!t!re of the informal or=ani3ation. Their
personal 8!alities" the demands of the sit!ation" or a om:ination of these and
other fators attrat follo$ers $ho aept their leadership $ithin one or several
overlay str!t!res. Instead of the a!thority of position held :y an appointed head
or hief" the emer=ent leader $ields infl!ene or po$er. Infl!ene is the a:ility
of a person to =ain o-operation from others :y means of pers!asion or ontrol
over re$ards. 7o$er is a stron=er form of infl!ene :ea!se it reflets a person?s
a:ility to enfore ation thro!=h the ontrol of a means of p!nishment.A leader
is anyone $ho infl!enes a =ro!p to$ard o:tainin= a parti!lar res!lt. It is not
dependant on title or formal a!thority. (elevos" paraphrased from 9eaders"
Bennis" and 9eadership 7resene" 2alpern M 9!:ar0. An individ!al $ho is
appointed to a mana=erial position has the ri=ht to ommand and enfore
o:ediene :y virt!e of the a!thority of his position. 2o$ever" he m!st possess
ade8!ate personal attri:!tes to math his a!thority" :ea!se a!thority is only
potentially availa:le to him. In the a:sene of s!ffiient personal ompetene" a
mana=er may :e onfronted :y an emer=ent leader $ho an hallen=e his role in
the or=ani3ation and red!e it to that of a fi=!rehead. 2o$ever" only a!thority of
position has the :a4in= of formal santions. It follo$s that $hoever $ields
personal infl!ene and po$er an le=itimi3e this only :y =ainin= a formal
position in the hierarhy" $ith ommens!rate a!thority. 9eadership an :e
defined as one?s a:ility to =et others to $illin=ly follo$. Every or=ani3ation
needs leaders at every level
Leadership versus management
Some ommentators lin4 leadership losely $ith the idea of mana=ement. Some

re=ard the t$o as synonymo!s" and others onsider mana=ement a s!:set of
leadership. If one aepts this premise" one an vie$ leadership as%
entrali3ed or deentrali3ed
:road or fo!sed
deision-oriented or morale-entred
intrinsi or derived from some a!thority
Any of the :ipolar la:els traditionally asri:ed to mana=ement style o!ld also
apply to leadership style. 2ersey and Blanhard !se this approah% they laim
that mana=ement merely onsists of leadership applied to :!siness sit!ationsB or
in other $ords% mana=ement forms a s!:-set of the :roader proess of
leadership. They p!t it this $ay% &9eadership o!rs any time one attempts to
infl!ene the :ehavior of an individ!al or =ro!p" re=ardless of the
reason.Mana=ement is a 4ind of leadership in $hih the ahievement of
or=ani3ational =oals is paramo!nt.&
2o$ever" a lear distintion :et$een mana=ement and leadership may
nevertheless prove !sef!l. This $o!ld allo$ for a reiproal relationship
:et$een leadership and mana=ement" implyin= that an effetive mana=er sho!ld
possess leadership s4ills" and an effetive leader sho!ld demonstrate
mana=ement s4ills. One lear distintion o!ld provide the follo$in= definition%
Mana=ement involves po$er :y position.
9eadership involves po$er :y infl!ene.
A:raham Dale3ni4 (),**0"for e6ample" delineated differenes :et$een
leadership and mana=ement. 2e sa$ leaders as inspirin= visionaries" onerned
a:o!t s!:staneB $hile mana=ers he vie$s as planners $ho have onerns $ith
proess.'arren Bennis (),.,0 f!rther e6pliated a dihotomy :et$een
mana=ers and leaders. 2e dre$ t$elve distintions :et$een the t$o =ro!ps%
Mana=ers administer" leaders innovate
Mana=ers as4 ho$ and $hen" leaders as4 $hat and $hy
Mana=ers fo!s on systems" leaders fo!s on people
Mana=ers do thin=s ri=ht" leaders do the ri=ht thin=s
Mana=ers maintain" leaders develop
Mana=ers rely on ontrol" leaders inspire tr!st
Mana=ers have a short-term perspetive" leaders have a lon=er-term
perspetive
Mana=ers aept the stat!s-8!o" leaders hallen=e the stat!s-8!o
Mana=ers have an eye on the :ottom line" leaders have an eye on the
hori3on
Mana=ers imitate" leaders ori=inate
Mana=ers em!late the lassi =ood soldier" leaders are their o$n person
Mana=ers opy" leaders sho$ ori=inality
7a!l Birh (),,,0 also sees a distintion :et$een leadership and mana=ement.
2e o:served that" as a :road =enerali3ation" mana=ers onerned themselves
$ith tas4s $hile leaders onerned themselves $ith people. Birh does not
s!==est that leaders do not fo!s on &the tas4.& Indeed" the thin=s that
haraterise a =reat leader inl!de the fat that they ahieve. Effetive leaders
reate and s!stain ompetitive advanta=e thro!=h the attainment of ost
leadership" reven!e leadership" time leadership" and mar4et val!e leadership.
Mana=ers typially follo$ and reali3e a leader?s vision. The differene lies in the
leader realisin= that the ahievement of the tas4 omes a:o!t thro!=h the
=ood$ill and s!pport of others (infl!ene0" $hile the mana=er may not.
This =ood$ill and s!pport ori=inates in the leader seein= people as people" not
as another reso!re for deployment in s!pport of &the tas4&. The mana=er often
has the role of or=ani3in= reso!res to =et somethin= done. 7eople form one of
these reso!res" and many of the $orst mana=ers treat people as A!st another
interhan=ea:le item. A leader has the role of a!sin= others to follo$ a path
heHshe has laid o!t or a vision heHshe has arti!lated in order to ahieve a tas4.
Often" people see the tas4 as s!:ordinate to the vision. #or instane" an
or=ani3ation mi=ht have the overall tas4 of =eneratin= profit" :!t a =ood leader
may see profit as a :y-prod!t that flo$s from $hatever aspet of their vision
differentiates their ompany from the ompetition.
9eadership does not only manifest itself as p!rely a :!siness phenomenon.
Many people an thin4 of an inspirin= leader they have eno!ntered $ho has
nothin= $hatever to do $ith :!siness% a politiian" an offier in the armed
fores" a So!t or 1!ide leader" a teaher" et. Similarly" mana=ement does not
o!r only as a p!rely :!siness phenomenon. A=ain" $e an thin4 of e6amples
of people that $e have met $ho fill the mana=ement nihe in non-:!siness
or=anisationsNon-:!siness or=ani3ations sho!ld find it easier to arti!late a non-
money-driven inspirin= vision that $ill s!pport tr!e leadership. 2o$ever" often
this does not o!r.